From an outsider's prospective, getting the house in a divorce may be seen as a major victory. After all, for most couples, their homes are their most valuable assets. Plus, for those parents that retain custody of the kids, it's nice to still have adequate space to accommodate them. Yet in many cases, getting the house as part of a property division settlement can be as much of a curse for some as it is a blessing for others.
While most understand that their monthly incomes will decrease following a divorce, few may actually comprehend how great of a financial drop that can be. The National Bureau of Economic Research estimates that the family income for children whose parents divorce can fall between 40 and 45 percent.
Such a financial loss could significantly hinder your chances at being able to afford the mortgage on your home. Even if spousal support received from your ex helps to cover that payment, consider the other expenses involved with caring for yourself and your children, namely:
- School expenses
- Health care
- The daily costs of living
While saying goodbye to the family home certainly may not be easy, it might be the most prudent decision after the loss of income that often accompanies divorce. One potential solution that could help to avoid the potential for such an issue occurring could be to consider working with your ex to sale the home before your divorce is finalized. The proceeds of the sale can then either be included as part of your settlement, or be used to pay off marital debts.
While this information certainly isn't meant to be viewed as legal counsel, it could save you from the potential heartache of having to leave your home after being awarded it in your settlement.